NDB leapfrogs to 8th position of Business Today Top 25

Wednesday, 6 November 2013 00:00 -     - {{hitsCtrl.values.hits}}

NDB has been accorded eighth place in the Business Today ‘Top 25’ ranking of Sri Lanka’s top performing public listed corporate entities in 2012-13. Sri Lanka’s fastest growing banking conglomerate has climbed up 10 positions from its previous years ranking, signalling a significant progress in the bank’s performance during the previous financial year. Since its inception, Business Today Top 25 has been an annually held event to recognise top corporate performers in Sri Lanka that have strengthened the country’s economy. Financial criteria considered for the ranking include share turnover, revenue, profit after tax, growth in sales turnover, growth in profit, return on equity, growth in earnings per share, market capitalisation, value of shares transacted and value addition. Weights are assigned to the criteria uniformly to arrive at the scores on which the order in which companies are ranked is decided. Contributing factors Contributing factors towards NDBs ranking at No.8 was based on the bank’s strong financial position, competitive strengths and diversified businesses within the group, enabling the bank to secure its strength and stability. In the year reviewed for the latest Business Today ranking, NDB reported a record performance showing a 47% increase in profit after tax with its asset base recording an increase of 18% over the previous year. These growth levels resulted in a PBT of Rs. 4.6 billion and PAT of Rs. 3 billion. It is noteworthy to mention that the share of profits available for shareholders at a group level increased significantly by 225% to Rs. 8.8 billion due to the capital gains of Rs. 6.6 billion generated as a result of the divestment of the investment in Aviva NDB Insurance PLC to American International Assurance (AIA) Company Ltd. of Hong Kong during the fourth quarter of 2012. The balance sheet growth of the NDB Group of 22% from the previous financial year pointed to a sound financial position and the shareholders equity base increasing by Rs 8.2 billion to Rs 25.3 billion.  This significant surplus in shareholder funds within the NDB Group will result in the bank having ample opportunities in moving forward to benefit from the development opportunities in the country and the region. Local and global acclaim The Bank also received noteworthy local and global acclaim during year 2012. The World Finance magazine, UK named NDB as the ‘Best Commercial Bank in Sri Lanka,’ while Euromoney magazine acclaimed NDB Investment Bank as the ‘Best Investment Bank’ in the country. NDB’s Annual Report 2011 was placed high amongst the global ranks at the LACP Vision Awards 2012, while CMO-Asia awarded NDB for Brand Excellence in Banking, Financial Services and Insurance. The HR practices of the bank were recognised with a Silver Award at the HRM Awards 2012. NDB’s exemplary corporate citizenship was duly recognised by NDB being named one of the ‘Top 10 Best Corporate Citizens’ of the country at the Best Corporate Citizens Awards 2012 organised by the Chamber of Commerce of Sri Lanka. Exceptional financial performance Commenting on NDB’s latest accolade, Chief Executive Officer Rajendra Theagarajah said, “It is indeed a pleasure to be acknowledged as one of the Top 25 entities in Sri Lanka by Business Today. Having overcome a three-decade-long domestic conflict, Sri Lanka has been focusing on rebuilding a strong and sustainable economy amidst a challenging global economic climate. In this new economy, NDB remains focused on leveraging its strong balance sheet to generate sustainable earnings while maintaining high quality assets.  As a result, we have been able to overcome some of the challenges presented in the financial services sector to deliver an exceptional financial performance for the year 2012.” Business Today, true to its reputation as the magazine of the corporate world, has conducted its own survey of top corporate performers, recognising those who have performed exceptionally and been anchors stabilising the growing Sri Lankan economy.